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HTC will have to pay Apple $6 to $8 for every Android handset sold

Posted: , by Victor H.

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HTC will have to pay Apple $6 to $8 for every Android handset sold
Just recently we learned that HTC has agreed to pay licensing fees to Apple in a settlement of one of the biggest cases in the mobile industry. And while the details of the 10-year deal remain confidential, industry sources think that HTC will have to pay Apple between $6 and $8 for every Android phone it sells.

The information comes from Sterne Agee analyst Shaw Wu who had “conversations with industry sources.”

It’s hard to tell how much would this mean in a larger, per year perspective, but if we assume that HTC manages to sell between 30 and 35 million Android smartphones, the sum would be between $180 million and $280 million.

And while on the background of Apple’s massive $41 billion net income, that sum fades, it is another stream of revenue flowing inside Apple’s big river.

source: Business Insider

77 Comments
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posted on 12 Nov 2012, 08:52 19

1. Ravail (Posts: 181; Member since: 14 Oct 2011)


Lol I wouldn't put it past Apple for them to patent the colors Black and White in cell phones..

posted on 12 Nov 2012, 09:05 22

6. aaronkatrini (Posts: 236; Member since: 06 Jun 2012)


Htc is the only brand that brings INNOVATION and they must pay to apple for that!
I mean, they came up with the first Android phone, one of the first Windows 7 phone, the first Nexus device, First 1ghz Snapdragon, first 3D screen on a phone, First Quad-Core Chipset.... and many others...
I HATE APPLE!

posted on 12 Nov 2012, 09:24 10

13. Bernoulli (Posts: 1432; Member since: 01 Sep 2012)


I agree to a certain extent, yes they were first on windows but Android was first introduced by lg, and don't forget that nokia isstill number one in innovation, especially in the camera area with their pureview technology and none the less their maps are far better than Google's, and don't forget their latest development, nokia city lens

posted on 12 Nov 2012, 09:33 5

19. aaronkatrini (Posts: 236; Member since: 06 Jun 2012)


first android phone G1!

posted on 12 Nov 2012, 18:26 2

54. joey_sfb (Posts: 2499; Member since: 29 Mar 2012)


Apple let up fearing HTC LTE patents and still wants $8 for every android phone. HTC loses their balls when they sign that agreement.

Any way i will be buying only samsung's android phone to rally under their battle banner against apple.

I am proconsumer against apple anti-consumer behaviour.

posted on 12 Nov 2012, 09:39 4

20. PAPINYC (Posts: 2173; Member since: 30 Jul 2011)


I disagree to a great extent!! Where do you get your misInfo? BGR??

Nokia isn't number one in innovation; the only thing they've "innovated" in the last two years is how to downward spiral through a vacuous hole at 10x's the speed of light.

What camera lens? They use Carl Zeiss AG lenses in some devices and OEM sub-standard in others.

Their Maps can only take you around Finland and Norway.

If Android was first introduced by LG, why were they one of the last manufacturers to use it?

Too bad about HTC and their loss to the EviL EmpiRe.

posted on 12 Nov 2012, 10:04 4

22. Bernoulli (Posts: 1432; Member since: 01 Sep 2012)


And where do you get your information? Playboy magazine? You don't know much about the latest phones do you? The nokia 808 pureview has lossless zoom, since it has a 41 MP camera, nokia maps can be downloaded and stored, along with voice navigation in my country, whereas Google maps suck in my country of origin, none the less that saves a lot of money on roaming data when traveling abroad, but oh well its mostly us non Americans the ones who travel a lot, plus do research, Google maps vs nokia maps so you can see for yourself

posted on 12 Nov 2012, 13:19 1

35. PAPINYC (Posts: 2173; Member since: 30 Jul 2011)


It's not my fault or Android's fault that you live in some remote Godforsaken country. Fess' up, where do you live? Afghanistan? Mongolia??

I read Playboy Magazine for the articles; it is my contribution to the American Economy, don't hate!!

posted on 12 Nov 2012, 14:46 1

43. Bernoulli (Posts: 1432; Member since: 01 Sep 2012)


Try Mexico, retard, Google maps doesn't have voice guided route when I go across Rio Grande (or bravo) none the less nokia city lens cannot be beaten by a God forsaken Android app, I currently live and work in the United States, but even then doesn't beat that you can pre download the maps on nokia while you have to roam and pay the foreign data rates, I stick with Telefonica because telcel wants to charge an arm and Leg for data, like Verizon, and you go ahead read what your pea brain can handle, and fyi I have both Android and symbian and symbian could be a lot better if it's app availability was greater, and even Then going back to my original argument the nokia 808 pureview cannot be beaten by any other Android phone, and I'm saying this as I type it on my Galaxy note II

posted on 12 Nov 2012, 20:13

63. jsdechavez (Posts: 697; Member since: 20 Jul 2012)


Get your facts right about Nokia camera lenses and Maps.. They use Carl Zeiss but they create patents on those camera techs they put in those cameras. Have you used Nokia Maps to take you to Finland and Sweden? Or did you mean that it's useless? You sure? I use Nokia Maps in the Philippines for my research. It wouldn't have come out with same readings as our Garmin gps.

posted on 12 Nov 2012, 21:31 1

65. Bernoulli (Posts: 1432; Member since: 01 Sep 2012)


Poor bloke doesn't even know about the pureview technology, he's American Haha but ask him what comes in combo number five at McDonald's and he'll be able to tell you up to the spices and condiments used lol

posted on 12 Nov 2012, 10:38 1

23. Nadr1212 (Posts: 741; Member since: 22 Sep 2012)


That is just mean, rotten apple crap!!!!

posted on 12 Nov 2012, 10:38 2

24. gwuhua1984 (Posts: 1237; Member since: 06 Mar 2012)


Agreed, HTC was the first to announce a quad core phone. First Nexus device, first Android device, first LTE...

What other firsts did I not list? I think these are more than enough to prove my point.

posted on 12 Nov 2012, 14:51

44. Bernoulli (Posts: 1432; Member since: 01 Sep 2012)


Nokia was the first to introduce the world with a Camera phone, and a front facing camera, and a video call, and because symbian and Web os never lagged there was no reason to make them power deficient like current android, ask anyone with an HTC device their battery sucks even at ics, yet again you don't know your Android history, android was introduced by lg not htcrap, oh and I used to own an HTC Glacier which used to go on a rebooting cycle that customer service reps didn't know what caused it, ever since I was like never again htc

posted on 12 Nov 2012, 19:04

57. gwuhua1984 (Posts: 1237; Member since: 06 Mar 2012)


The first Android device release was the G1 by HTC. Feel free to Google that LG turned down offer for chance to build First Android device. So... perhaps you should double check your Android history knowledge. I own 2 HTC devices HTC Desire HD and HTC One X, and I have absolutely no problem with power in fact I'm more than happy. So, your experience against my experience. Hm..................

posted on 12 Nov 2012, 19:37

61. Bernoulli (Posts: 1432; Member since: 01 Sep 2012)


I'd rather go with what's trusted, and htc is cheaply made, in my opinion, but they are better when they are gsm for some reason though, they seem to last longer than their cdma siblings

posted on 13 Nov 2012, 03:41

68. gwuhua1984 (Posts: 1237; Member since: 06 Mar 2012)


HTC may not have the best product in the world but the product is good enough. Most of the problems could be solve via OTA updates. Like I've said before, it's the business decisions that's really killing them. HTC has more than what it take to be a top dog in the market, but they trip every time, which points back to their poor marketing. Other than that, the products are quite capable from my experience. Just so you know. Glacier was the worse release of HTC in my opinion, if you want a good HTC experience, go try out a HTC One X that's running at least sense 4.1 or later. Even with a battery capacity less than others in the market, the battery life last pretty well.

posted on 13 Nov 2012, 08:43

69. Bernoulli (Posts: 1432; Member since: 01 Sep 2012)


Hehe no thanks, I have a note 2 since last month and I couldn't be happier with a phone, and if it's about camera experience and performance I suggest you to try the nokia 808 pureview, it sports a 41 MP Camera, symbian^3 belle and well it's a nokia, so if it falls the ground will shatter, unlike with an htc lol

posted on 12 Nov 2012, 11:21 3

29. Dr.Phil (Posts: 863; Member since: 14 Feb 2011)


Well you're both wrong on something. The first Android phone was the HTC Dream, which became known as the HTC G1 here in the US. LG was approached by Google to make the first Android phone but they turned down the offer.

Nokia did develop the sensor used on the Nokia 808, but the lens was indeed a Carl Zeiss lens. However, the sensor is the real highlight of the show.

posted on 12 Nov 2012, 12:38 1

34. ojdidit84 (Posts: 250; Member since: 16 Jul 2011)


Sorry to burst your bubble, but the first Android phone, the T-Mobile G1, was built by HTC.

posted on 12 Nov 2012, 09:26

14. Ravail (Posts: 181; Member since: 14 Oct 2011)


Your comment has nothing to do with that i posted. Lol umadbro?

posted on 12 Nov 2012, 09:50

21. gothicheart (Posts: 82; Member since: 17 Oct 2012)


htc paying for every phone sold, and apple paying nokia for every iphone sold. well, it only shows who the real innovator is...

posted on 12 Nov 2012, 11:00

27. gwuhua1984 (Posts: 1237; Member since: 06 Mar 2012)


Innovation is who spends the most money suing others. So yes, Apple would be the one and only true innovator there.

posted on 12 Nov 2012, 16:58

51. Topcat488 (Posts: 1108; Member since: 29 Sep 2012)


Yeah, HTC should have offered Apple $1.00 for each phone sold, Just like what Apple offered Motorola during their FRAND hearings... Poor HTC :/

posted on 16 Nov 2012, 20:15

71. epdm2be (Posts: 139; Member since: 20 Apr 2012)


"I HATE APPLE!"

You think MSFT is any better? They did this FIRST in 2010!
See e.g.

http://www.tomsguide.com/us/Google-android-OS-Mobile-Patent,news-6622.html

It seems that American companies these days use everything BUT innovation to fill their CEO's greedy pockets.

posted on 12 Nov 2012, 09:27 4

16. MeoCao (unregistered)


From now on, when you buy a HTC phone you indirectly pay $8 to Apple.

So we have one more reason not to choose HTC phones.

posted on 12 Nov 2012, 09:32

18. aaronkatrini (Posts: 236; Member since: 06 Jun 2012)


true and sad

posted on 12 Nov 2012, 12:24

32. alouden (Posts: 186; Member since: 18 Oct 2011)


Too true. When this news broke, all it made me want to di is go ahead and buy a Samsung.

posted on 12 Nov 2012, 13:31

38. LionStone (Posts: 444; Member since: 10 Dec 2010)


There are no facts to this...article says someone "thinks" this is the case...

posted on 16 Nov 2012, 20:27

72. epdm2be (Posts: 139; Member since: 20 Apr 2012)


+5$ to Microsoft.
How come you have such short memories?

http://www.quora.com/What-is-the-nature-of-the-patent-infringement-settlement-between-Microsoft-and-OEMs-selling-Android-phones-such-as-HTC

Profits on every HTC handset = -x
...and there goes the most innovative non-US smartphone maker down the drain....

I'll give HTC 2 years tops!

By then Nokia will be destroyed by (ex-)MSFT employees, together with RIM if these canadians are so foolish to hire mr. Sinofsky (ex MSFT). Google have already put Motorola practically to sleep.

By 2015 the most innovative cell/smart-phone companies will be gone. And all what's left is cheap crappy chinese/korean s**t or uber-expensive stuff from MicroAppleSoft.

I'm really looking forward to the future...Oh dear! :-(

posted on 12 Nov 2012, 08:57 5

2. Droid_X_Doug (Posts: 5523; Member since: 22 Dec 2010)


Better than what they are paying MS....

posted on 12 Nov 2012, 12:37

33. jroc74 (Posts: 4720; Member since: 30 Dec 2010)


This is true....lol. In some bizarro world....Apple's license deal is better than MS's. I think some heads are gonna explode...

posted on 16 Nov 2012, 20:35

73. epdm2be (Posts: 139; Member since: 20 Apr 2012)


No it isn't. HTC only pays 5$ to Microsoft for every Android handset.

Funny how 2 supposedly non-related and supposedly competive American companies earn foreign money of the back of an OS build by another supposedly non-related and supposedly competive American company.

I don't wanna sound again like this is all a conspiracy but there sure is something fishy going on...

posted on 12 Nov 2012, 08:58 2

3. husfus (Posts: 62; Member since: 21 Oct 2012)


Htc gives to apple, apple gives to nokia!

posted on 12 Nov 2012, 09:18

12. neutralguy (Posts: 1152; Member since: 30 Apr 2012)


true that.

posted on 16 Nov 2012, 20:36

74. epdm2be (Posts: 139; Member since: 20 Apr 2012)


I'll correct that for you:
"Htc gives to apple, apple gives to nokia and Nokia gives back to Microsoft!"

posted on 12 Nov 2012, 09:01 9

4. Aeires (unregistered)


HTC, quietly brilliant, publicly stupid.

posted on 12 Nov 2012, 09:06 2

7. MeoCao (unregistered)


can't say any better.

posted on 12 Nov 2012, 09:04 6

5. MeoCao (unregistered)


I would understand if it was MS. MS is PC King and has a lot of essential patents like file formats, emails, security...

What Apple has? Rectangle w rounded corners, flat centered screen, slide to unlock... all trivial things that can have work around solutions to.

And now Apple has free hands to go after other Android OEMs.

Shame on you HTC.

posted on 12 Nov 2012, 09:14 5

11. Aeires (unregistered)


What happened to HTC standing up to Apple over LTE patents? I can't help feeling there was a trade going on here, Apple gets LTE rights, and now license fees, and HTC gets Apple's lawyers off their back. What respect I had for HTC is now dead, they caved in to Apple, the single greatest threat to innovation and competition the mobile community has ever seen.

posted on 12 Nov 2012, 13:29 1

36. Xquisite (Posts: 87; Member since: 23 Apr 2012)


Hmm, lawsuits vs random internet guy losing respect because he doesn't understand business?

posted on 12 Nov 2012, 13:45 1

39. Aeires (unregistered)


Hmm, customer base choosing a different OEM to purchase phones from vs lawsuit they could have won.

Don't be so stupid to isolate this down to one person.

posted on 12 Nov 2012, 14:59 1

45. Xquisite (Posts: 87; Member since: 23 Apr 2012)


Lmao I doubt there will be a high percentage of people that don't buy the Droid DNA because of this.

Seriously if you don't buy an HTC phone because of this, you have issues.

posted on 12 Nov 2012, 15:21

47. Aeires (unregistered)


You don't have to have issues to boycott a company. It's about not supporting something you disagree with. It's that simple.

posted on 12 Nov 2012, 16:38 1

50. Xquisite (Posts: 87; Member since: 23 Apr 2012)


It isn't that simple. You're buying a HTC product, not an Apple product. There is no point in missing out on great phones because of business things that shoudln't even concern you.

posted on 12 Nov 2012, 18:04 1

53. Aeires (unregistered)


It's not your call what concerns me or not. It's my choice as a consumer to buy from one company vs another, not yours. Obviously this doesn't bother you so feel free to buy HTC if you want, that's your choice. My choice is different.

posted on 16 Nov 2012, 20:38

75. epdm2be (Posts: 139; Member since: 20 Apr 2012)


It will be very hard to buy any HTC phone if HTC is no more...

posted on 12 Nov 2012, 15:54

49. alouden (Posts: 186; Member since: 18 Oct 2011)


Well put. I understand business, so as pissed as I am, I won't hold it against HTC. Nor would or should HTC care if I did....

posted on 12 Nov 2012, 09:27

15. darkkjedii (Posts: 10071; Member since: 05 Feb 2011)


Obviously they have something with 6-8$ per handset coming. Dude this is business that's all it is plain n simple.

posted on 12 Nov 2012, 09:08

8. tigermcm (Posts: 653; Member since: 02 Sep 2009)


ummmmm I thought HTC was paying MS for every android sold? Someone help me out

posted on 12 Nov 2012, 11:48

30. ktfrank (Posts: 4; Member since: 11 Dec 2010)


They are, something like $10-13

posted on 12 Nov 2012, 23:58

67. tigermcm (Posts: 653; Member since: 02 Sep 2009)


looks like HTC might make WP8 primary and Android 2nd

posted on 12 Nov 2012, 09:10

9. anywherehome (Posts: 971; Member since: 13 Dec 2011)


No! Why?! Not a penny to rotten Apple without real patents! You have to defend!

posted on 12 Nov 2012, 09:13 4

10. wendygarett (unregistered)


Another victory for Apple!!! Cheers!!!

posted on 12 Nov 2012, 14:08 4

41. Droiddoes (unregistered)


Another idiotic biased wendygarett post! Cheers!

posted on 12 Nov 2012, 09:28 2

17. angelesmec (unregistered)


HTC you are staining Android's reputation.

posted on 16 Nov 2012, 20:56

76. epdm2be (Posts: 139; Member since: 20 Apr 2012)


HTC isn't staining anything, they just want to make and sell phones and mind their own business.

It's the American industry that's staining Android as a product. Perhaps you people are beginning to understand why Nokia had to choose Windows Phone.

It seems US business ethics are everything but ethics!

Here are US-tactics to destry competition.

Plan A (the 3-step plan AKA the quick plan)
--------------------------------------------------​-----
1) Let US-company G create a cheap OS, propagate it to the world as "open source"
2) Then let another US-Company M sue every non US-company who uses that OS...
3) ...if it works, then signal a green flag to another US-company A to sue them even more.

Until non US-company is dead!

Plan B (the 6-step plan AKA the long plan)
--------------------------------------------------​----

1) plant a US-mole into non-US company N,
2) destroy company N's native products (label them as 'burning platform' etc)
3) adopt US product from company M as only choice
4) slowly sell/remove/kill-off company N's assets (buildings, factories, workforce etc...)
5) until nothing is left of company N
6) assimilate remaining left-overs and IP to US-company M

mission accomplished!

Destroying non-US companies is one sure way to get US-economy back on tracks. Now whether that money will be spend to sustain general US-economy and increase general wellfare in the US or just to fill the pockets of a small select club of filthy rich people, that is the real question.

posted on 12 Nov 2012, 10:53 3

25. shuaibhere (Posts: 1297; Member since: 07 Jul 2012)


Instead of doing this they should join samsung in defending lte patents.......
Shame on you htc....

posted on 12 Nov 2012, 11:11

28. gwuhua1984 (Posts: 1237; Member since: 06 Mar 2012)


They should but they probably can't afford to do so. Do you think HTC would have the kind money to fight Apple lawsuits in multiple countries? As much as I don't want to see this happen, perhaps this really is the best way for them.

posted on 12 Nov 2012, 10:53 3

26. lukasound (Posts: 150; Member since: 16 Nov 2011)


I would NEVER buy an Apple product. Even if they were better than others, which they are, by a large margin, not.

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